London stocks were set to open higher on Tuesday as oil prices retreated and global equities recovered after comments from Donald Trump suggesting the conflict with Iran could be relatively short-lived.
According to IG, futures indicated the FTSE 100 would rise about 66 points, or 0.6%, to around 10,315. The index closed 0.3% lower at 10,249.52 on Monday.
Oil markets remained unsettled, however. After Trump suggested the war could end soon, Brent crude dropped to about $88 a barrel before rebounding above $93 as Iranian officials pushed back against expectations of a quick resolution.
Currency markets showed modest moves. Sterling strengthened to $1.3456 early Tuesday from $1.3396 at the London close on Monday. The euro slipped slightly to $1.1560, while the dollar eased against the yen to ¥157.53.
On Wall Street, stocks reversed earlier losses and closed higher after Trump told CBS News the conflict was “very complete, pretty much”. The S&P 500 rose 0.7%, the Dow Jones Industrial Average added 0.5%, and the Nasdaq Composite jumped 1.4%.
Asian markets also rebounded after heavy losses earlier in the week. Japan’s Nikkei 225 climbed 2.6%, while China’s Shanghai Composite rose 0.5% and Hong Kong’s Hang Seng Index gained 2.0%.
Revised data showed Japan’s economy expanded at an annualised pace of 1.3% in the fourth quarter of 2025, up from an earlier estimate of 0.2%. Meanwhile, China reported a strong trade surplus of $213.62 billion for the combined January-February period, according to the General Administration of Customs.
In Australia, the S&P/ASX 200 closed 1.1% higher as consumer sentiment improved. The latest survey from Westpac and the Melbourne Institute showed sentiment rising to 91.6 in March, although it remained in pessimistic territory.
In commodities, gold rose to $5,175.80 an ounce early Tuesday from $5,104.20 on Monday.
